Audit & Assurance

Statutory audits
done properly.

Annual statutory audits for licence renewal and IFRS compliance, plus independent external audit reports for banks, investors, regulators and tender purposes. Senior-led, risk-based and approved across DMCC, JAFZA, ADGM, DIFC and the wider UAE.

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What we deliver

A statutory audit is required annually for most UAE entities — free zone or mainland — for licence renewal, bank facility purposes or because the constitutional documents demand it. The audit opinion is an independent assertion that the financial statements give a true and fair view in accordance with IFRS.

We deliver statutory audits across every major UAE jurisdiction. The audit is partner-led, risk-based and IFRS-aligned — and we don't tick boxes, we test what matters.

Our approach

  • Risk-based scoping. We focus our effort on what matters — significant balances, judgemental areas and high-risk transactions — not low-value box-ticking.
  • Substantive testing. Sample-based testing on revenue, receivables, inventory, payables and major expense lines — with full audit trail.
  • Partner involvement throughout. Not just at sign-off. You'll have direct partner contact at planning, fieldwork and reporting.
  • Management letter recommendations. Clean audit report plus a separate letter with specific, actionable recommendations to strengthen controls.

Who needs a statutory audit

Most UAE entities are required by their licensing authority or by their constitutional documents to have an annual statutory audit. This includes most free zone companies (DMCC, JAFZA, ADGM, DIFC, DAFZA, RAKEZ, SAIF, DDA and others), LLCs on the mainland, branches of foreign companies, and most regulated entities.

Legal framework

Why a UAE statutory
audit is mandatory.

Under Federal Decree-Law No. 32 of 2021 on Commercial Companies, every UAE company is required to maintain proper books of account, prepare annual financial statements under IFRS, and have them audited by a licensed auditor. The same requirement is mirrored in free zone regulations — DMCC Company Regulations 2020, JAFZA Offshore Companies Regulations, ADGM Companies Regulations 2020 and DIFC Companies Law.

Beyond the legal requirement, audited financial statements are increasingly demanded by UAE banks for facility renewals, by suppliers for credit terms, by potential investors and acquirers during due diligence, and by the Federal Tax Authority (FTA) for Corporate Tax and VAT compliance verification.

External audits — for third-party assurance

Beyond statutory audits, we also conduct independent external audits commissioned for specific purposes — bank facility audits, group reporting packs for foreign parent companies (US GAAP, IFRS, German HGB), pre-tender financial qualifications, investor due diligence support, and special-purpose reports for regulators. Same audit team, same quality, scope and reporting framework tailored to the user's needs.

Penalties for non-compliance

Failure to file audited accounts on time attracts penalties from the relevant licensing authority. Mainland LLCs face fines under the Commercial Companies Law. Free zone authorities have their own penalty structures — DMCC penalties range from AED 1,000 to AED 50,000 depending on the infraction. Non-compliance can also result in licence suspension, blocking your ability to renew trade licences or open bank accounts.

FAQ

Frequently asked.

When are statutory audit reports due in the UAE?+
Most UAE free zone authorities require audited financial statements to be filed within 90 to 180 days of the financial year end. DMCC requires submission within 90 days. JAFZA Offshore companies within 6 months. ADGM and DIFC require submission of audited accounts within 7 months. For Corporate Tax purposes, audited accounts must be available for the CT return filing — due 9 months after year-end.
Can I change my UAE financial year end?+
Yes — though the process depends on your jurisdiction. Most free zones allow a change of financial year end with a board resolution and notification to the registrar. There may be implications for your first audit period (which could be shorter or longer than 12 months) and for Corporate Tax registration.
What is IFRS and do I have to use it?+
IFRS (International Financial Reporting Standards) is the accounting framework that UAE law requires for statutory audits. Smaller entities can use IFRS for SMEs — a simplified version. Your auditor will help confirm which framework applies to you.
Can I prepare my own financial statements and have you just audit them?+
Yes — many of our clients prepare their own draft financial statements through their internal finance team or outsourced bookkeeper, and we audit them. We can also assist with the preparation phase if your team needs support.
What happens if my statutory audit is delayed?+
Late submission attracts fines from the relevant licensing authority. More seriously, it can delay your trade licence renewal — without a current valid trade licence you cannot conduct business in the UAE. Banks may also freeze facility renewals pending updated audited accounts.
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